Ah, New Year’s resolutions. They are always made with the best of intentions, but how many of us actually stick to them? Data suggests that actually, almost 80% of people bailed on their 2021 resolutions by mid-February.
But setting intentions, or resolutions, is an important part of reaching any goal, whether that’s related to your career, relationships, health, or, yep you guessed it, money.
Yet only 6% of the Your Juno community we polled at the beginning of their money journey had set clear financial goals. Let’s see if we can turn that around!
The Your Juno team has pulled together their top tips for setting money goals ahead of 2022.
Definition time 📕 Money goal: The big thing you’re aiming for e.g. saving for a deposit on a flat. Money resolution: The key actions that will help you reach your goal e.g. setting a budget, opening a cash ISA, saving £250 a month. Money buddy: A trusted friend or relative who can hold you accountable and help you reach your money goals. Money date: A 30+ minute weekly check-in to manage your finances.
Align your money resolutions to your long term goals
Your money journey is personal to you and what you want from your life. If you know you want to start a business in the next few years or want to own a flat sometime in the future, you can start setting money resolutions to help you reach those goals. New Year is a perfect time for self-reflection and to ask yourself: What do you want to aim for?
Make financial goals for the year. And make them specific!
Getting out of debt or buying a property are common money goals but they are likely to fail if they aren’t supported by specific actions and are plotted within a timeline. For example, if you had £1,000 in credit card debt, your resolution could be to set aside £100 on payday for the next ten months.”
Your new year’s resolutions don’t have to be annual
A lot can happen in a year. Instead of setting annual money goals, consider setting monthly goals. You’re more likely to stick to shorter-term goals and it will also encourage you to keep tabs on your monthly finances and work your goals around any changes in pay or your circumstances.
Make building an emergency fund one of your goals
As the pandemic showed us, we have no idea what’s around the corner so it’s good to build up an emergency fund. It can protect you financially if you lose your job or could give you the freedom to get out of a bad relationship if you had to move house. Start by putting a little aside every month with the plan to eventually build 3 months worth of living expenses.
Find a money-buddy to hold you accountable
We all know that going on a fitness journey is 100 times more effective when you do it with a friend. The same goals for money resolutions. Reach out to a friend or relative you trust to be your money buddy and set a money date where you get together and talk about all things finances.
Make a plan to start investing
Women tend to be great savers - 86% of Your Juno users do this every month - but with rising inflation, our money is losing value. Since the pandemic, more women are investing than ever, but women are still drastically behind men. There are now loads of budgeting and investment apps which make the investing world a lot more accessible. Start with a small amount of money and, as always, never invest anything you couldn’t lose.
Set aside a money check-in with yourself each week
72% of our users admitted spending less than 20 minutes a week on their finances at the start of their Your Juno journey. If we spend 40 hours earning money every week, then we should spend more time managing it! You could spend this time reviewing your budget, reading money news or reviewing your investments.
Set Your 2022 Money Goals:
Save our template and share your money goals
Supporting your big money goal with smaller resolutions will help you achieve your goal.